Tuesday 03/10/09

Still fighting off that cold :-/ Got to the screens around 10:30 am this morning, and tried scalping the chop but ended that trade sequence flat. I'll use 233-Tickbar charts to show the trades. I was positioning myself to catch a bigger move to the down side, by taking stabs shorting the market at various price levels but I actually missed the move since I stepped away to grab some food.

ES 233-tickbar (Morning Chop)


After having breakfast, got back and saw a double-bottom forming at the 709.50 level. Matt played this to the short-side from 711.50, but the 3-min ES/TICK was indicating continued buying pressure, so I passed on the earlier short setup, and instead went long off the double-bottom. I exited this one at +3.25 pts (my intial target is typically 3 pts with a 1.5 pt stop). I stepped away to take care of other work after I exited this one, or I might have gone Long again at the double-bottom at 712.

ES 233-tickbar Chart (Double-Bottom Long trade)


Saw this H&S setup developing on the 5-min chart, and tried playing it like Stan by building a small position and riding it out for a larger gain. My target on this was lower 709 (closer to 707) but I chose to lock in the gains, and get back to my other work (software development). Ended the day with a +$550.00 gain on Sim. Going forward, we need to be mindful of the open gap above at 733 and below at 675.50.

ES 233-tickbar (H&S Setup on 5-min time-frame)


Open/Unfilled Gap at 675.50


ES/$TICK (3-Min)